Peso, PSEi Down on Risk-Off Sentiment

Both the Philippine peso and the Philippine Stock Exchange index (PSEi) closed lower Monday on risk-off sentiment.

The local currency finished the day at 52.00 to a US dollar, weaker than its 51.90 close Friday last week, which a trader pointed to concerns on the Parliamentary elections in Italy, with latest results showing no clear winner.

The trader said foreign selling in the local equities market also hurt the peso.

For the day, the local unit opened at 51.85, little changed from the 51.84 in the previous session.

It traded between 51.83 and 52.04, resulting in an average of 51.94.

Volume for the day reached USD565.5 million, lower than the USD733.3 million Friday last week.

On Tuesday, the currency pair is seen to trade between 51.80 and 52.00.

Also, the PSEi shed 0.86 percent, or 72.40 points, to 8,386.17 points, which a trader said was in line with its peers in the region given the political uncertainties in Italy.

All Shares tracked the main index after it fell 0.42 percent, or 21.45 points, to 5,043.89 points.

Decliners among the sectors was led by the Financials, which dropped 1.33 percent; followed by the Holding Firms, 1.32 percent; Services, 0.31 percent; and Industrial, 0.20 percent.

On the other hand, Property rose 0.61 percent and Mining and Oil, 0.18 percent.

Volume reached 7.8 billion shares amounting to PHP6.1 billion.

Gainers led losers at 117 to 100 while 41 shares were unchanged. (PNA)